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201047943
<br />14. DEFAULT. Trustor will be in default if any party obligated on the Secured Debt fails to make payment when due. Trustor
<br />will be in default if a breach occurs under the terms of this Security Instrument or any other dacument executed for the
<br />purpose of creating, securing or guarantying the Secured Debt. A good faith belief by Beneficiary that Beneficiary at any
<br />time is insecure with respect to any person or entity obligated on the Secured Debt or that the prospect of any payment or
<br />the value of the Property is irnpaired shall also constitute an event of default.
<br />15. REMEDIES ON DEFAULT. In some instances, federal and state law will require Beneficiary to provide Trustor with
<br />notice of the right to cure or other notices and rnay establish time schedules for foreclosure actions. Subject to these
<br />limitations, if any, �eneficiary may accelerate the Secured Debt and foreclose this Security Instrument in a manner
<br />provided by law if Trustor is in default,
<br />At the aption of Beneficiary, all ar any part af the agreed fees and charges, accrued interest and principal shall becpme
<br />irnmediately due and payable, after giving notice if required by law, upon the occurrence of a default or anytime
<br />thereafter. In addition, Beneficiary shall be entitled io all the rernedies provided by law, the terms of the Secured Debt,
<br />this Security Instrument and any related documents, including withaut limitation, the power ta sell the Property.
<br />If there is a default, Trustee shall, in addition to any other permitted remedy, at the request of the Beneficiary, advertise
<br />and sell the Praperty as a whale or in separate parcels at public auctian ta the highest bidder for cash and convey absolute
<br />title free and clear of all right title and interest af Trustor at such time and place as Trustee designates. Trustee shall give
<br />notice of sale including the time, terms and place of sale and a description of the property to be sold as required by the
<br />applicable law in effect at the time of the proposed sale.
<br />Upon sale of the Property and to the extent not prohibited by law, Trustee shall raake and deliver a deed to the Property
<br />sold which conveys absolute title to the purchaser, and after first paying all fees, charges and costs, shall pay to
<br />Beneficiary all rnoneys advanced for repairs, taxes, insurance, liens, assessments and prior encumbrances and interest
<br />thereon, and the principal and interest on the Secured Debt, paying the surplus, if any, to Trustor. Beneficiary may
<br />purchase the Praperty. The recitals in any deed of conveyance shall be prima facie evidence of the facts set farth therein.
<br />All remedies are distinct, cumulative and not exclusive, and the Beneficiary is entitled to all remedies provided at law or
<br />equity, whether or not expressly set forth, The acceptance by Beneficiary of any sum in payment or partial payment on the
<br />Secured Del�t after the balance is due or is accelerated or after foreclosure praceedings are filed shall not constitute a
<br />waiver of Beneficiary's right to require complete cure af any existing default. By not exercising any remedy on Trustor's
<br />default, Beneficiary daes not waive Beneficiary's right ta later consider the event a default if it continues or happens again.
<br />16. EXPENSES; AllVANCES ON COVENANTS; ATTOKNEYS' FEES; COLLECTION COSTS. Bxcept when
<br />prohibited by law, Trustor agrees to pay all of Beneficiary's expenses if Trustor breaches any covenant in this Security
<br />lnstrument. Trustor will also pay on dernand any arnount incurred by Bsneficiary for insuring, inspecting, preserving or
<br />otherwise protecting the Property and Beneficiary's security interest. Thase expenses will bear interest from the datc of the
<br />payment until paid in full at the highest interest rate in effect as provided in the terms of the Secured Debt. Trustor agrees
<br />to pay all costs and expenses incurred by Heneficiary in collecting, enforcing or protecting Beneficiary's rights and
<br />remedies under this Security Tnstrument. `1"his amaunt may include, but is not limited to, attorneys' fees, court costs, and
<br />other legal expenses. This Security Instrument shall remain in effect until released. Trustor agrees to pay for any
<br />recordation costs of such release.
<br />17. FNVIRONMENTAL I�AWS AND HA7ARDOUS SUBSTANCES. As used in this section, (1) �nvironmental Law
<br />rneans, without lirnitation, the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA, 42
<br />U.S.C. 96�1 et seq.), and all other federal, state and lacal laws, regulations, ardinances, caurt orders, attorney general
<br />opinions or interpretive letters concerning the public health, safety, welfare, environment or a hazardous substance; and (2)
<br />Hazardous Substance means any toxic, radioactive ar hazardous material, �vaste, pollutant or contarninant which has
<br />characteristics which render the substance dangerous or patentially dangerous to the public health, safety, welfare or
<br />environment. The term includes, withaut limitation, any substances defined as "hazardous material," "toxic substances,"
<br />"hazardous waste" or "hazardous substance" under any Environmental Law.
<br />Trustor represents, warrants and agrees that:
<br />A. �xcept as previously disclosed and acknowledged in writing to Beneficiary, no Hazardous Substance is or will be
<br />located, stored ar released on or in the Praperty. This restrictian does not apply to small quantities of Hazardous
<br />Substances that are generally recognized to be appropriate for the normal use and maintenance of the Property.
<br />B. Except as previously disclosed and acknowledged in writing to Bene�ciary, Trustor and every cenant have been, are,
<br />and shall remain in full compliance with any applicable Environmental Law.
<br />C. Trustor shall immediately notify Beneficiary if a release or threatened release of a Hazardous Substance occurs on,
<br />under ar abaut the Property or there is a violation of any Environmental Law concerning the Praperty. In such an
<br />event, Trustor shall take all necessary remedial action in accardance with any Enviranmental Law.
<br />D. Trustor shall irnmediately notify Beneficiary in writing as soon as Trustor has reasan to believe there is any pending
<br />or threatened investigation, clairn, or proceeding relating to the release or threatsned release af any Hazardous
<br />5ubstance ar the violation of any �nvironmental I,aw.
<br />18. COND�MNATXON. Trustar will give Beneficiary prompt notice of any pending ar threatened action, by private or public
<br />entities ta purchase or take any or all of the Property through condemnation, eminent domain, or any other means, Trustor
<br />authorizes Beneficiary ta intervene in Trustor's name in any af the above described actions ar claims. Tnastor assigns to
<br />Beneficiary the proceeds of any award or claim for damages cnnnected with a condemnation or other taking of all or any
<br />part of the Property. Such proceeds shall be cansidered payments and will be applied as pravided in this Security
<br />Instrument. This assignment of praceeds is subjeci to the terms of any prior mortgage, deed of trust, security agrccmcnt or
<br />other lien document.
<br />19. INSURANCE. Trustor shall keep Property insured against loss by �re, flood, theft and other hazards and risks reasonably
<br />associated with the Property due to its type and lacation. This insurance shall be maintained in the amounts and for the
<br />periods that Beneficiary requires. What Lender requires pursuant to the preceding sentence can change during the term of
<br />the loan. The insurance carrier providing the insurance shall be chosen by Trustor subject to Beneficiary's approval, which
<br />shall not be unreasonably withheld. If Trustor fails to maintain ihe coverage described above, Beneficiary may, at
<br />Beneficiary's option, obtain covera$e to protect Beneficiary's rights in the Property according to the terms of this Security
<br />Instrument.
<br />All insurance policies and renewals shall be acceptable to Beneficiary and shall include a standard "mortgage clause" and,
<br />where applicable, "loss payee clause. " Trustor shall imrnediately notify Beneficiary of cancellation or terminacion of the
<br />insurance. Beneficiary shall have the right to hold the policies and renewals. If Beneficiary requires, Trustar shall
<br />immediately give to Beneficiary all receipts of paid premiums and renewal notices. Upon loss, Trustor shall give
<br />immediate notice to the insurance carrier and Beneficiary. Beneficiary may make proof af lass if not made immediately by
<br />Trustor.
<br />(page f 41
<br />�"' � 1994 8ankars Systems, Inc., St. Cloud, MN Form RE•DT-NE 1/30/2002
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